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AES Sells Its Interest In California Biomass Power Plants For $51 Million

Biomass businesses sold to Covanta Holding Corp.

ARLINGTON, Va. - AES Corp., a power company, announced Tuesday that its wholly-owned subsidiary, AES Central Valley, L.L.C., will sell its 100 percent indirect interest in two biomass fired power plants in California (the 50 MW Delano facility and the 25 MW Mendota facility) and an associated biomass fuels management company (togehter, the Central Valley Businesses) to Covanta Holding Corp. for $51 million.

The transaction is scheduled for completion during the third quarter of 2007.

β€œThe sale of the Central Valley Businesses reflects our commitment to portfolio management in our businesses,” said David Gee, AES Executive Vice President and President, North America region. β€œWhile we are committed to growing our portfolio, including renewable generation assets such as biomass, this transaction represented a compelling opportunity to deliver value to our shareholders.”

AES reported 2006 revenues of $12.3 billion and has facilities in 27 countries with a global workforce of 32,000 employees.
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